The Reserve Bank has warned ICICI Bank of stern action in case incidents of coercive methods by recovery agents of the bank recur, the Rajya Sabha was informed on Tuesday.

“The bank was advised by the RBI in October, 2007 that if such incidents recur in future, RBI would be constrained to take stern action,” Minister of State for Finance P K Bansal told the house. In view of alleged harassment of customers by ICICI Bank’s recovery agents and the Supreme Court judgement , the bank was advised by RBI to investigate and take action against recovery agents involved.

Bansal said RBI has reported that the customer who had availed the car loan from ICICI Bank filed a case under which 3 executives of the possession agency were arrested but later released on bail.